Nikkei Falls as Yen Rallies and Bessent Warns Against Further Weakness

The Japanese stock market saw a decline on Wednesday as the yen continued to strengthen. The Nikkei 225 Index fell by 0.19% to close at 65,143.

This move came after US Treasury Secretary Scott Bessent warned traders against betting on further yen weakness, saying he has 'pretty good insight' into the Bank of Japan's actions when intervening in the currency market.

The stronger yen is a concern for Japan's export-oriented companies as it makes their earnings outlook uncertain and Japanese assets more expensive for overseas investors.